Classic Auto Insurance: Is It Worth The Hype?

Classic car insurance is a specialized variant of auto insurance that caters to owners of antique, vintage, and classic cars. It offers broader coverage options and lower premiums than traditional auto insurance policies. Classic car insurance is typically cheaper than standard policies because the vehicles are not driven as frequently, presenting a lower risk to insurers. However, the cost of insurance depends on several factors, including the age and condition of the car, the level of coverage, and the driver's qualifications. When choosing a classic car insurance company, it's important to consider the type of classic car, the desired coverage options, and the company's reputation and customer experience.

Is classic auto insurance good for regular use?

Classic car insurance is a specialised variant of auto insurance that caters to owners of antique, vintage, and classic cars. It typically provides broader coverage options and offers lower premiums than traditional auto insurance policies.

Classic car insurance is ideal for those who own vintage automobiles and want to protect a car that has been restored, well-maintained, or is worth more than a standard vehicle. Classic car insurance rates are usually lower than regular policies because the vehicles are not driven as much. This type of coverage typically allows for limited mileage discounts, along with the ability to customise coverage plans tailored to the needs of the individual policyholder.

Classic car insurance differs from standard auto insurance in several ways:

• Classic car insurance policies generally cover the full value of a classic or collector car, whereas standard auto insurance typically covers only the depreciated value of a vehicle.
• To be covered by classic car insurance, a vehicle must meet certain criteria such as restrictions on how much the car can be driven per year, usually limited to an agreed-upon number of miles for hobby use or parades.
• Classic car insurance is typically cheaper than traditional insurance because the owner is not driving the car as frequently as they would a standard vehicle.
• Before deciding how much coverage is needed, a car owner will usually be expected to have their vehicle appraised by a third-party appraiser.

Classic car insurance is not suitable for regular use. Most classic car insurance policies come with low mileage limits, and some strictly forbid using the vehicle for everyday tasks like running errands or commuting to work. Classic car insurance typically requires the vehicle to be kept in a locked garage or similar secure location when not in use.

Classic car insurance is intended for secondary cars, not daily drivers or commuting cars. Most insurance companies require that the car be used for occasional pleasure driving or auto shows, and that the owner has a separate vehicle for daily driving.

However, there are some classic car insurance providers that offer coverage for regular use. Safeco, for example, offers a regular-use coverage option for classic cars, with an annual limit of 10,000 miles. This allows owners to use their vintage cars for daily errands, commuting, and even road trips.

Overall, classic car insurance is a good option for those who want to protect their investment in a vintage or classic car, but it may not be suitable for those who want to use their classic car as their primary vehicle.

Is classic auto insurance good for bundling coverage?

Classic car insurance is a specialised variant of automobile insurance that appeals to owners of antique, vintage, and classic cars. It provides broad coverage options and offers lower premiums than traditional auto insurance policies.

Bundling your insurance policies is a great way to save money on your insurance. Most insurance companies provide bundling discounts when policyholders purchase more than one policy type with the same carrier.

Classic car insurance companies that offer bundling discounts include:

• State Farm: State Farm is our top pick for bundling coverage. It has played a role in protecting American families since 1922 and offers all types of coverage. It is one of the best classic car insurance companies to work with when a driver wants to bundle coverage and score discounts. State Farm has a strong reputation and is the nation's largest property and casualty insurer by market share. It offers a remarkable bundling discount of up to $1,273 annually.
• American Modern: American Modern is one of the best classic car insurance companies and is partnered with Geico, a larger auto insurer. Geico is respected in the industry and has an A++ rating from AM Best. This means you can get quotes for both standard and classic car insurance through Geico. American Modern also offers flexible mileage plans, including an unlimited mileage option, perfect for collectors who drive their classic cars often.
• Hagerty: Hagerty is backed by Progressive, which offers policies through Hagerty. Nationwide has also partnered with Hagerty to offer classic car insurance to customers. This can be beneficial for drivers who want to bundle their classic car insurance with coverage for other vehicles through Progressive or Nationwide.
• Allstate: Allstate is our 2024 Bankrate Award winner for Best for Bundling Home and Auto Insurance. The carrier boasts an impressive bundling discount, allowing policyholders to save up to 25 per cent.
• Farmers: Farmers offers an attractive bundling discount with average savings of 20 per cent. With numerous discounts available for both auto and home insurance, it could be a good option for those keen on saving.
• Nationwide: Nationwide is a 2024 Bankrate Awards winner for Best Budget Home Insurance Company. The company provides a bundling opportunity with potential savings of up to 20 per cent.
• Travelers: Travelers offers a bundling discount that allows customers to save on home and auto insurance.

Is classic auto insurance good for roadside assistance?

Classic Auto Insurance offers a roadside assistance program for classic and collector cars. For $10 per year, policyholders can avail of the following services:

• Towing to the nearest qualified repair facility, with guaranteed flatbed towing if requested
• Jumpstart for dead batteries
• Locksmith services for lockouts
• Flat tire assistance, including towing to a tire shop if the driver does not have a spare
• Fuel delivery, providing enough fuel to reach the nearest service station

Classic Auto Insurance also offers a "Sign and Drive" convenience, where the driver only needs to sign the road service invoice and drive away without any out-of-pocket expenses.

Classic Auto Insurance's roadside assistance program is currently not available in North Carolina.

Classic Auto Insurance is one of the best classic car insurance companies, according to Forbes and MarketWatch. It is praised for its customer experience, with a 4.9 out of 5-star rating on Trustpilot.

Is classic auto insurance good for vehicles rising in value?

Classic car insurance is a great way to protect a vehicle that has been restored or well-maintained and is typically worth more than a standard vehicle. Classic car insurance is often cheaper than standard car insurance because the vehicles are not driven as frequently. This type of insurance coverage typically allows for limited-mileage discounts and the ability to customise coverage plans to meet the needs of the individual policyholder.

Classic car insurance is a specialised form of auto insurance that caters to owners of antique, vintage, and classic cars. It typically provides broader coverage options and lower premiums than traditional auto insurance policies. Classic car insurance policies often cover the full value of a classic or collector car, whereas standard auto insurance only covers the depreciated value of a vehicle unless the driver has gap insurance.

Classic car insurance is ideal for vehicles with increasing value. For example, Grundy guarantees up to 150% of the agreed value to offset the loss if the car is totalled. Hagerty also offers a Guaranteed Value® coverage feature, which means that in the event of a covered total loss, you will receive every cent of your classic car's insured value. American Collectors also offers a unique protection program called Collectors Auto Reimbursement Endorsement (CARE), which includes roadside assistance, car show expense reimbursement, theft reward, and more.

When choosing classic car insurance, it is important to consider the eligibility requirements, which typically include the vehicle's age, mileage restrictions, storage conditions, and the driver's qualifications. It is also essential to compare coverage options and prices from multiple providers to find the best fit for your needs.

Is classic auto insurance good for emergency expenses coverage?

Classic car insurance is designed for vehicles that are not driven frequently and generally covers claims on an Agreed Value basis. This means that the insurance company and the customer agree on a specific value for the vehicle before any potential total loss incident occurs. In the event of a covered total loss, the Agreed Value is paid out, ensuring that the customer receives the full value of their vehicle.

Classic car insurance policies often come with built-in or optional coverages tailored to classic car owners' needs and preferences. These may include emergency roadside assistance, towing, and emergency lodging. Some companies also offer coverage for emergency travel expenses, such as lodging and transportation costs if you are stranded during a road trip.

When choosing a classic car insurance policy, it is important to consider the company's reputation, coverage options, and customer service. It is also essential to understand the eligibility requirements, mileage restrictions, and storage criteria for classic car insurance policies.

Overall, classic car insurance can provide good coverage for emergency expenses, but it is important to carefully review the specific policy and company to ensure that it meets your individual needs and expectations.

Frequently asked questions